DO OIL PRICES IMPACT BITCOIN PRICES?? NO, HERE IS WHY..

The global crises today, which have largely been induced unexpectedly by the wildfire spread of the coronavirus (COVID-19) took its major toll on crude oil prices.

It is a record broken in history that now crude oil trades below zero. Which means, it has attained a negative figure wherein producers are paying the buyers for disposing of their crude oil supplies.

This is going to be an unforgettable event, it is also unlikely that Bitcoin prices may be impacted by this.

The prices plunged to -$37.63 on April 20th, 2020.

The major reason being due to the consequences of the coronavirus pandemic. The majority of the countries have suspended their international flights for months. Not only that but to curb the corona chain they also restricted the internal travel between the cities.
This includes both the land locomotives and air travel. This being the biggest consumer of fuel-based products, hence a big drop in demand.

As a result, the oil industry is in the position of oversupply and has caused storage tanks to overflow that it has become a major challenge and expensive to find a physical space to accommodate it.

WHY BITCOIN PRICES MAY NOT BE AFFECTED BY THIS?
For the bitcoin miners the biggest expenditure is electricity.
With a drastic fall in oil prices, people are pondering if it could impact the cost of mining and the price of bitcoin,
China is 1 such country where Bitcoin mining has been concentrated. In all the countries, electricity sources are variable by nature and it could shift to renewable energy sources.

But currently 71% of power in China is sourced from different fossil fuels. They are however not limited to crude oil but they are inclusive of coal etc..
If the prices of electricity downswings critically that they make a difference in Bitcoin's mining breakeven cost, it may not impact the price.
And finally, Bitcoin has no storage cost like that of crude oil which is a perfect store of value.